September 24, 2007
The total package
I recently returned from a few weeks in Asia, doing seminars, meeting press, hanging out with our local distribution partners and resellers, and of course, observing (and ingesting) the cultural differences. The one that's always interesting to me, especially in Japan, is the packaging of products. I mean the literal box or carton or bag that things come in, and the importance that people seem to attach to it.
In Japan, my hotel room had separate waste and recycle bins under the desk, and the typical cards encouraging me to re-use towels rather than waste water washing them or to change the bed linens less than daily. That all fits with the typical Western image of the Japanese being very environmentally conscious. But then, I picked up some Kit Kat bars, as I often do, and found that they are absolutely overwhelmed with packaging. In order to enjoy the chocolate and wafers, I had to peel off the cellphane, open a cardboard box and remove the two plastic packages each containing two fingers of candy. I guess freshness is important in candy.
Back on the software front, I'm spending a lot of time today on the copy and screenshots for the package for one of our products. Years ago, I remember Ipswitch shipping out 3.5" disks and later CDs in plain white cardboard mailers with a license agreement and sometimes a manual. When we first started doing business in Japan, they printed cardboard boxes the size of ceral boxes in full color for us. And now, we ship worldwide in DVD-style packages.
So why do software makers who don't sell in retail still pay attention to packaging these days? Not all do, of course. Many have 100% ecommerce/ESD models. Many ship nearly naked CDs like Ipswitch used to. But many, and I'd guess more and more as a function of the cost of the software, pay designers and printers to make elaborate (and disposable) housings for their entirely digital products. Why?
The arguments for software packaging are of two flavors, value and marketing. The value line says, customers who pay a couple thousand dollars want to get something in their hands with heft. The marketing line says that even if you don't sell in retail, the software packaging helps set customer expectations and might be displayed or shown to colleagues and get to act as a form of referral marketing.
The arguments against are pragmatic - why spend the money (or waste the customer's money) on something that adds shipping cost and gets thrown away or stowed as soon as the software is installed - or environmental - why add more plastic and cardboard to the landfills?
It's a bit reminiscent of music CDs moving from the long box to the jewel case (with occasional mavericks using cardboard versions instead of plastic) to Amazon (still ships a disc) and iTunes (doesn't). But software buyers are not the same as music buyers and (thank heavens) sofware makers are not the same as record companies. We'll have to figure out what's best for our customers, but I hope we'll consider the environmental angles, too.
Posted by David Karp
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